The Organisation of the Petroleum Exporting Countries (OPEC) and its allies, collectively known as OPEC+, announced on Sunday that they will increase oil production by 206,000 barrels per day (bpd) starting in April.
The decision followed a virtual meeting of member nations, including Saudi Arabia, Russia, Iraq, the United Arab Emirates, Kuwait, Kazakhstan, Algeria, and Oman, where officials reviewed global oil market conditions and outlooks, according to a statement on OPEC’s website.
“The eight participating countries decided to resume the unwinding of the 1.65 million barrels per day of additional voluntary adjustments announced in April 2023 and agreed on a production adjustment of 206,000 barrels per day,” the statement said.
OPEC added that the global economic outlook remains stable and market fundamentals are strong, as reflected in relatively low oil inventories.
The 1.65 million bpd in voluntary cuts may be gradually reinstated either partially or fully, depending on future market developments, the group said. Eight member countries are scheduled to meet again on 5 April to review and finalise further decisions.
The increase in April is expected to conclude OPEC’s planned production adjustments for the first quarter of 2026. The voluntary cuts were originally introduced in April 2023 and subsequently extended through the end of 2026.
The announcement comes in the wake of U.S. and Israeli strikes on Iran, raising concerns about potential supply disruptions in the Middle East, particularly around the strategic Strait of Hormuz.
Market analysts predict that oil prices are likely to surge on Monday following OPEC+’s statement.
